Millennium Post

Yet to receive reply from ICICI Bank on Kochhar issue: Sebi

Mumbai: Sebi Chairman Ajay Tyagi on Thursday said the regulator is yet to receive reply from the ICICI Bank on allegations involving its CEO Chanda Kochhar.

Besides Sebi, various other agencies, including the CBI, are looking into alleged lapses involving Kochhar and her family members with respect to loans extended by the lender to certain entities, including the Videocon group.

"We are yet to receive reply from the ICICI Bank," Tyagi said while briefing reporters after Sebi board meeting here.

The cases under scanner include the bank's Rs 3,250 crore loan to Videocon Group in 2012 and the involvement of Kochhar family members in restructuring of the loan.

Kochhar and her family members are facing allegations of quid pro quo and conflict of interest with respect to a loan extended to certain entities.

On Monday, the ICICI Bank announced that Kochhar has decided to go on leave till the completion of an external enquiry into alleged conflict of interest in extending loans to some corporates like Videocon and named Sandeep Bakhshi as the chief operating officer.

Meanwhile, Sebi on Thursday also said it is looking into alleged violations of code of ethics in the ICICI Securities IPO and has sought details.

ICICI Securities had in March reduced the size of its initial public offer (IPO) to a little over Rs 3,500 crore after the sale elicited a sluggish response, especially from high networth individuals.

On a question about whether Sebi was conducting any investigation in the alleged violation of code of ethics in ICICI Securities IPO, chairman Ajay Tyagi said, "We are looking into that, we have sought some information from them and we are yet to get their reply."

There are allegations that ICICI AMC took a late stake in the company's IPO.

The size of the initial public offer -- the fourth one from the ICICI Group -- was reduced in the wake of sluggish response.

The price band for the offer was fixed at Rs 519-520 per share.

ICICI Securities shares got listed on the bourses on April 4, this year.

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